ALIMENTATION COUCHE-TARD INC (ATD.CA) Stock Fundamental Analysis
Canada - TSX:ATD - CA01626P1484 - Common Stock
72.56 CAD
+0.76 (+1.06%)
Taking everything into account, ATD scores 5 out of 10 in our fundamental rating. ATD was compared to 17 industry peers in the Consumer Staples Distribution & Retail industry. Both the profitability and the financial health of ATD get a neutral evaluation. Nothing too spectacular is happening here. ATD does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year ATD was profitable.
ATD had a positive operating cash flow in the past year.
ATD had positive earnings in each of the past 5 years.
In the past 5 years ATD always reported a positive cash flow from operatings.
1.2 Ratios
ATD has a better Return On Assets (6.34%) than 88.24% of its industry peers.
With an excellent Return On Equity value of 16.44%, ATD belongs to the best of the industry, outperforming 82.35% of the companies in the same industry.
ATD has a Return On Invested Capital of 9.57%. This is comparable to the rest of the industry: ATD outperforms 52.94% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ATD is above the industry average of 8.31%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.34% | ||
| ROE | 16.44% | ||
| ROIC | 9.57% |
ROA(3y)8.24%
ROA(5y)8.66%
ROE(3y)20.85%
ROE(5y)21.27%
ROIC(3y)11.24%
ROIC(5y)11.67%
1.3 Margins
ATD has a Profit Margin of 3.58%. This is in the better half of the industry: ATD outperforms 76.47% of its industry peers.
In the last couple of years the Profit Margin of ATD has declined.
ATD's Operating Margin of 5.25% is in line compared to the rest of the industry. ATD outperforms 41.18% of its industry peers.
ATD's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 18.30%, ATD is doing worse than 82.35% of the companies in the same industry.
ATD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.25% | ||
| PM (TTM) | 3.58% | ||
| GM | 18.3% |
OM growth 3Y-2.95%
OM growth 5Y-1.84%
PM growth 3Y-6.05%
PM growth 5Y-4.02%
GM growth 3Y0.66%
GM growth 5Y0.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ATD is still creating some value.
The number of shares outstanding for ATD has been reduced compared to 1 year ago.
The number of shares outstanding for ATD has been reduced compared to 5 years ago.
ATD has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.78 indicates that ATD is not in any danger for bankruptcy at the moment.
The Altman-Z score of ATD (3.78) is better than 82.35% of its industry peers.
ATD has a debt to FCF ratio of 5.12. This is a neutral value as ATD would need 5.12 years to pay back of all of its debts.
ATD has a better Debt to FCF ratio (5.12) than 76.47% of its industry peers.
ATD has a Debt/Equity ratio of 0.78. This is a neutral value indicating ATD is somewhat dependend on debt financing.
ATD has a Debt to Equity ratio of 0.78. This is in the better half of the industry: ATD outperforms 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 5.12 | ||
| Altman-Z | 3.78 |
ROIC/WACC1.32
WACC7.27%
2.3 Liquidity
A Current Ratio of 0.82 indicates that ATD may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.82, ATD is doing worse than 94.12% of the companies in the same industry.
ATD has a Quick Ratio of 0.82. This is a bad value and indicates that ATD is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ATD (0.57) is worse than 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
ATD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.32%.
ATD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.42% yearly.
Looking at the last year, ATD shows a small growth in Revenue. The Revenue has grown by 0.01% in the last year.
ATD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.12% yearly.
EPS 1Y (TTM)-4.32%
EPS 3Y1.26%
EPS 5Y6.42%
EPS Q2Q%-6.02%
Revenue 1Y (TTM)0.01%
Revenue growth 3Y5.07%
Revenue growth 5Y6.12%
Sales Q2Q%-5.09%
3.2 Future
Based on estimates for the next years, ATD will show a small growth in Earnings Per Share. The EPS will grow by 7.77% on average per year.
The Revenue is expected to grow by 1.97% on average over the next years.
EPS Next Y6.66%
EPS Next 2Y9.98%
EPS Next 3Y11.8%
EPS Next 5Y7.77%
Revenue Next Year1.55%
Revenue Next 2Y2.42%
Revenue Next 3Y1.21%
Revenue Next 5Y1.97%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 19.77, which indicates a rather expensive current valuation of ATD.
Compared to the rest of the industry, the Price/Earnings ratio of ATD is on the same level as its industry peers.
When comparing the Price/Earnings ratio of ATD to the average of the S&P500 Index (27.41), we can say ATD is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 16.02, the valuation of ATD can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as ATD.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.87, ATD is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.77 | ||
| Fwd PE | 16.02 |
4.2 Price Multiples
ATD's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ATD is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.59 | ||
| EV/EBITDA | 10.55 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ATD does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of ATD may justify a higher PE ratio.
PEG (NY)2.97
PEG (5Y)3.08
EPS Next 2Y9.98%
EPS Next 3Y11.8%
5. Dividend
5.1 Amount
ATD has a Yearly Dividend Yield of 1.09%.
ATD's Dividend Yield is comparable with the industry average which is at 1.63.
Compared to an average S&P500 Dividend Yield of 2.38, ATD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
On average, the dividend of ATD grows each year by 22.48%, which is quite nice.
ATD has paid a dividend for at least 10 years, which is a reliable track record.
ATD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)22.48%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
20.13% of the earnings are spent on dividend by ATD. This is a low number and sustainable payout ratio.
ATD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.13%
EPS Next 2Y9.98%
EPS Next 3Y11.8%
TSX:ATD (9/22/2025, 7:00:00 PM)
72.56
+0.76 (+1.06%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners33.34%
Inst Owner ChangeN/A
Ins Owners18.67%
Ins Owner ChangeN/A
Market Cap68.23B
Analysts80
Price Target86.44 (19.13%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
Yearly Dividend0.73
Dividend Growth(5Y)22.48%
DP20.13%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.56%
Min EPS beat(2)-4.83%
Max EPS beat(2)1.71%
EPS beat(4)1
Avg EPS beat(4)-2.14%
Min EPS beat(4)-4.83%
Max EPS beat(4)1.71%
EPS beat(8)2
Avg EPS beat(8)-4.57%
EPS beat(12)4
Avg EPS beat(12)0.18%
EPS beat(16)7
Avg EPS beat(16)1.66%
Revenue beat(2)0
Avg Revenue beat(2)-4.32%
Min Revenue beat(2)-4.46%
Max Revenue beat(2)-4.19%
Revenue beat(4)0
Avg Revenue beat(4)-4.13%
Min Revenue beat(4)-5.53%
Max Revenue beat(4)-2.33%
Revenue beat(8)2
Avg Revenue beat(8)-2.63%
Revenue beat(12)3
Avg Revenue beat(12)-2.37%
Revenue beat(16)7
Avg Revenue beat(16)-1.02%
PT rev (1m)1.29%
PT rev (3m)2.18%
EPS NQ rev (1m)-0.38%
EPS NQ rev (3m)-8.01%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.63%
Revenue NQ rev (1m)0.17%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)-1.07%
Revenue NY rev (3m)-2.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.77 | ||
| Fwd PE | 16.02 | ||
| P/S | 0.69 | ||
| P/FCF | 16.59 | ||
| P/OCF | 9.29 | ||
| P/B | 3.16 | ||
| P/tB | 13.64 | ||
| EV/EBITDA | 10.55 |
EPS(TTM)3.67
EY5.06%
EPS(NY)4.53
Fwd EY6.24%
FCF(TTM)4.37
FCFY6.03%
OCF(TTM)7.81
OCFY10.77%
SpS105.68
BVpS22.99
TBVpS5.32
PEG (NY)2.97
PEG (5Y)3.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.34% | ||
| ROE | 16.44% | ||
| ROCE | 12.16% | ||
| ROIC | 9.57% | ||
| ROICexc | 10.31% | ||
| ROICexgc | 17.68% | ||
| OM | 5.25% | ||
| PM (TTM) | 3.58% | ||
| GM | 18.3% | ||
| FCFM | 4.14% |
ROA(3y)8.24%
ROA(5y)8.66%
ROE(3y)20.85%
ROE(5y)21.27%
ROIC(3y)11.24%
ROIC(5y)11.67%
ROICexc(3y)11.92%
ROICexc(5y)12.71%
ROICexgc(3y)18.54%
ROICexgc(5y)19.43%
ROCE(3y)14.3%
ROCE(5y)14.84%
ROICexcg growth 3Y-4.23%
ROICexcg growth 5Y-3.25%
ROICexc growth 3Y-7.17%
ROICexc growth 5Y-4.62%
OM growth 3Y-2.95%
OM growth 5Y-1.84%
PM growth 3Y-6.05%
PM growth 5Y-4.02%
GM growth 3Y0.66%
GM growth 5Y0.06%
F-Score6
Asset Turnover1.77
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 5.12 | ||
| Debt/EBITDA | 2.05 | ||
| Cap/Depr | 106.55% | ||
| Cap/Sales | 3.26% | ||
| Interest Coverage | 5.67 | ||
| Cash Conversion | 88.99% | ||
| Profit Quality | 115.71% | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 3.78 |
F-Score6
WACC7.27%
ROIC/WACC1.32
Cap/Depr(3y)112.62%
Cap/Depr(5y)106.98%
Cap/Sales(3y)2.84%
Cap/Sales(5y)2.77%
Profit Quality(3y)97.51%
Profit Quality(5y)96.68%
High Growth Momentum
Growth
EPS 1Y (TTM)-4.32%
EPS 3Y1.26%
EPS 5Y6.42%
EPS Q2Q%-6.02%
EPS Next Y6.66%
EPS Next 2Y9.98%
EPS Next 3Y11.8%
EPS Next 5Y7.77%
Revenue 1Y (TTM)0.01%
Revenue growth 3Y5.07%
Revenue growth 5Y6.12%
Sales Q2Q%-5.09%
Revenue Next Year1.55%
Revenue Next 2Y2.42%
Revenue Next 3Y1.21%
Revenue Next 5Y1.97%
EBIT growth 1Y-0.29%
EBIT growth 3Y1.97%
EBIT growth 5Y4.17%
EBIT Next Year62.53%
EBIT Next 3Y23.12%
EBIT Next 5Y17.59%
FCF growth 1Y3.09%
FCF growth 3Y5.93%
FCF growth 5Y3.23%
OCF growth 1Y14.52%
OCF growth 3Y8.49%
OCF growth 5Y6.25%